What Did I learn about the Market Today?
The big Fed Press Conference was a nothing-burger. We are still in the middle of two inflection points: The upper BB and 200 SMA (The Upper BB has moved higher and above 200 SMA today) as resistance & support zone, or 5 SMA (which crossed over the 50 SMA today). No need to front-run anything. We have a large trendline supporting the counter rally. If the SPY can rest into the pocket of support (Trendline, green support zone & 20SMA ) prior to a larger move higher or a Head & Shoulder move lower.
There are usually one or two ‘big plays’ each day. If you identify what the ‘big plays’ are and the key stocks, trading becomes easier. Why? Because you’re getting yourself in the right stocks at the right time. Today, the two ‘big plays’ were 1) The common gap-fade we see in the early hour, and 2) There was a second half tactical long entry after MACD cross going into the close.
Personal Reflections
- What Did I Miss? I failed to monitor the earnings play that had nice move higher e.g. EOSE and UBER
- What Trade I Did? I strategically sat on my hands today due to the Fed Press Conference.
- What Worked Today? Sitting on your hands. Not every day is a day to deploy capital.
Today’s SPY Trade Setups and Analysis
- Didn’t trade today due to the Fed Rate Decision and Fed Press Conference. However, notice how the 5SMA played a significant hurdle for the market to overcome.
- Potentially was an End of Day trade but didn’t trade earlier in the day for profit cushion to deploy lotto.
